Petrom, ExxonMobil See Neptun Potential
OMV Petrom and ExxonMobil Exploration and Production Romania Limited (EMEPRL) announced that the supplementary evaluation of the results from Domino-1, the first exploration well drilled at depth in the Black Sea, located in the Neptun perimeter, has provided a preliminary estimation of the potential gas production of approximately 630 million cubic feet per day, (6.5 bcm annually).
The figure is significant, considering current Romanian consumption approximates 14 bcm. Present Romanian production is around 11 bcm, with Petrom, through all its production activities in Romania, currently delivering 5 to 6 bcm annually.
In February 2012, Petrom and ExxonMobil announced that exploration drilling at the Domino-1 exploration well encountered 70.7 meters of net gas pay, resulting in a preliminary estimate for the accumulation ranging from 1.5 to 3 tcf (42 to 84 bcm).
A seismic 3D study that began in 2012 is estimated to be completed in the second quarter of 2013. The study would be the most extensive of its type undertaken in the Romanian area of the Black Sea. An exploration program of upwards of $1 billion USD includes the seismic study, and exploration and evaluation drilling planned for the end of 2013 or at the beginning of 2014.
Should future operations confirm the technical and commercial feasibility of the gas production in Neptun block, total investment in exploration and development could reach several billion US dollars. First production is estimated, at the earliest, at the end of this decade.
Company representatives say that supplementary data acquisition and interpretation, including the evaluation drilling and testing bores to confirm the dimension of the resources and their commercialization, is required before taking a decision to move to the development stage.
"OMV Petrom and EMEPRL are encouraged by the discovery from Domino-1 which is very important for Romania. The great depth area of the Neptun perimeter is unique and technically challenging so the future development will need substantial investments for a long period of time. We are pleased by the results of the exploration program and of the preliminary development program and we are waiting with interest the next exploration drill campaign that will take place at the end of this year”, said Mariana Gheorghe, the general manager of Petrom.